Today’s analysis offers a comprehensive examination of the gold markets, highlighting the key fundamental and technical factors shaping current trends. This report is designed to provide investors with the insights necessary to navigate these markets successfully.
Gold prices continue to attract buyers for the third consecutive day, edging closer to the all-time high reached earlier. Concerns over tariff uncertainty resurfaced in Asian markets on Thursday, overshadowing the temporary relief provided by Wednesday’s US inflation slowdown. The US Consumer Price Index (CPI) rose less than anticipated across all timeframes, alleviating some fears of an economic slowdown linked to Trump’s tariffs. The annual headline CPI for February increased by 2.8%, compared to January’s 3% and the expected 2.9%. Both the monthly CPI and core CPI rose by 0.2% during the same period.
Gold prices maintain a positive momentum for the third consecutive day, staying near their all-time high. The market is forming higher highs and developing an ascending triangle pattern, which could be confirmed with a daily close above the record high of $2,956. A move above this level could target the $2,970 mark, and if buyers push past that, a test of the $3,000 psychological barrier could be in play. The 14-day Relative Strength Index (RSI) is above 50, supporting the potential for further gains. On the downside, strong support is seen at the 21-day Moving Average (SMA) at $2,916. If selling pressure increases, prices may dip toward the $2,900 psychological level. The Stochastic Oscillator stands at 80, and the RSI is at 62.
In the dynamic and constantly changing bullion market, staying updated with both technical and fundamental analysis is essential for making informed investment choices. Our report aims to offer a balanced perspective to help investors navigate the complexities of gold trading.